- Cryptocurrencies started the week with the market down, with Bitcoin prices falling below $39,000 as $40,000 becomes resistance.
NEW DELHI (CoinChapter.com) — The cryptocurrency market continued downwards as Bitcoin (BTC) and altcoin moved within a tight range over the weekend. Traders remain undecided on market direction, likely due to Bitcoin’s recent tight correlation with the equities market.
Moreover, Apr 22’s sharp fall indicates investors are increasingly nervous about the central banks’ hawkish stance.
The cryptocurrency market’s inability to sustain an uptrend resulted in the Crypto Fear and Greed Index back into the “extreme fear” territory.
DOGE prices fell below their 20-day exponential moving average (red wave) and 50-day EMA (yellow wave) over the weekend. The memecoin started Apr 25 in the red, but bulls moved in to push prices upwards as the long lower wick on the day’s candle indicates.
If the token continues upwards, DOGE prices will challenge resistance from its 100-day EMA (purple wave) near $0.146. Moreover, a sustained uptrend would result in the DOGE token challenging resistance near $0.153, a price level DOGE price has failed to hold since Jan 21.
DOGE token’s relative strength index is currently neutral for the memecoin, with a value of 49.69 on the daily charts.
DOGE token’s 20-day EMA (red wave) looks poised to move below its 50-day EMA (yellow wave) to form a bearish technical pattern called the death cross, which might cause the DOGE price to continue its downtrend.
As a result, the meme cryptocurrency token prices could fall to support near $0.133, a price level that has supported the token’s price action since Mar 26. A marketwide sell-off could see prices break below immediate support to fall to $0.126 before recovering.
At the time of writing, DOGE was trading at $0.139, up 5.54% on the day.
Ethereum’s Ether token (ETH) prices fell by more than 12% from Apr 21’s high of $3,179 to reach an intraday low of $2,796 on Apr 25. The prime altcoin seems to take cues from Bitcoin’s downtrend.
ETH’s 20-day EMA (red wave) looks likely to move below its 50-day EMA (yellow wave) to form a bearish technical pattern called the death cross. Traders usually consider the pattern an indicator of negative market sentiment.
Ether’s price could fall to support near $2,800. If ETH breaks below immediate support, the Ether token price could fall to $2,660 before recovering.
Ether’s relative strength index is currently neutral, with a value of 37.77 on the daily chart. However, ETH’s RSI trendline is moving down towards oversold levels. Traders usually consider an oversold RSI level as a buy signal.
If ETH’s RSI becomes oversold, the second-largest cryptocurrency prices could move above their 100-day moving average (purple wave) to challenge resistance near $2,950. On the other hand, a sustained uptrend might bring ETH’s price close to resistance near $3,060, above its 50-day MA (yellow wave).
At the time of writing, ETH was trading at $2,878, down 1.46% on the day.
Polygon’s MATIC token has been moving below a descending trendline resistance since Jan 1 this year. However, the trendline resistance has rebuffed MATIC price uptrends several times in 2022. Moreover, MATIC fell nearly 20% between Apr 22’s high ($1.51) to Apr 25’s low ($1.26).
MATIC prices fell to a multi-month low of $1.26 on Monday, but bulls are aggressively defending the $1.3 support level. However, if Polygon prices continue to fall, the MATIC token would likely test immediate support near $1.27.
If MATIC price breaches below immediate support, Polygon might test support near $1.2, a price level the token last visited in Oct 2021.
Meanwhile, the relative strength index for MATIC is currently neutral, with a value of 37.66 on the daily charts. If the RSI moves below 30, MATIC will become oversold, which some traders consider a buy signal.
If the RSI becomes oversold and sparks an uptrend, the MATIC token price could flip resistance from its 20-day moving average (red wave) near $1.41. The $1.41 price level previously supported MATIC price action between Jan 22 and Apr 10 this year.
A sustained uptrend might see MATIC price move to challenge resistance near $1.5 before prices pull back.
At the time of writing, MATIC was trading at $1.3, down 3.13% on the day.
GMT prices charted a new ATH ($3.859) on Apr 20, but the token has since been moving downwards. On the four-hour (4H) charts, GMT price movement has been nearly horizontal. However, if traders continue to sell, GMT could fall to support from its 50-4H moving average (yellow wave) near $3.18.
Moreover, a sustained sell-off could see GMT token breach below immediate support to test the $2.99 support level.
Conversely, if bulls start an uptrend, the GMT token would likely flip immediate resistance near $3.4 before moving to target resistance near $3.6. Meanwhile, the GMT token’s relative strength index remains neutral on the 4H chart, with a value of 51.76.
At the time of writing, GMT was trading at $3.25, down 3.51% on the day.
XRP price fell nearly 17% since Apr 20, going from Apr 20’s high of $0.775 to reaching an intraday low of $0.645 on Apr 25. Moreover, the XRP token’s 20-day moving average (red wave) moved below its 100-day MA (purple wave) to form a bearish technical pattern called death cross on Apr 24.
Traders usually view death crosses as an indicator of negative market sentiment and a sell signal. As a result, XRP prices continued to fall over the weekend and as it started trading on Apr 25. However, Monday’s candle’s long lower wick suggests bulls are actively buying the dip.
If the XRP price continues to fall, the token would likely test immediate support near $0.65. A marketwide sell-off could push XRP below immediate support to reach $0.62 before the token starts a relief rally.
Meanwhile, XRP’s relative strength index is currently neutral, with a value of 33.44 on the daily charts. But the RSI trendline is very close to oversold levels. Traders often consider an oversold RSI a buy signal.
Also Read: XRP trading volume sinks by $436 billion to a quarterly low as it fails to break above $0.8.
As a result, XRP might reverse its bear run to flip resistance near $0.70 before moving to target resistance from its 20-day MA (red wave) near $0.74.
At the time of writing, XRP was trading at $0.67, down 3.97% on the day.